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Falling Home Prices

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AIR DATE: August 13, 2009

Then we talk with an economist whose work contradicts a lot of the conventional wisdom about the mortgage crisis. The teaser rates weren't much of a tease, the foreclosure crisis has been caused by falling home prices, not an inability to pay. He's even skeptical of plans to reduce mortgages - not because they don't offer real help, but because they might help those who could actually pay their mortgages. Our guest is Paul Willen, Senior Economist and Policy Advisor Federal Reserve Bank of Boston.

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